During the first year (1980-1981) of the new grant period (1980-1983) work in the field research centres (FRC's) proceeded by and large according to the plan outlined in the grant application of 1 March 1980. Work in the centres includes: (1) the continuation of first-contact case-finding, (2) initiation of one-year follow-up examinations, and (3) the collection of sociodemographic and sociological information on the catchment areas. Major tasks carried out by WHO/HQ included: (1) central coordination of data collection, (2) the preparation of instruments for the follow-up study, (3) the processing and analysis of the data received from FRC'S and (4) the preparation of reports and outlines for preliminary communications on various components of the project. The progress report includes tables reporting on the progress of case-finding in each of the centres for every component of the research, as well as estimated crude (unadjusted for age/sex) incidence rates for the FRC's and various characteristics (clinical, sociodemographic, etc.) of the first-year patient cohort. The details of work on each component of the project are reviewed and general problems of coordination at HQ and in the centres are discussed in the final section of the report.